Angola Outlook Revised To Negative On Widening Fiscal And External Deficits; 'B+/B' Affirmed

OVERVIEW Low oil prices have led to fiscal and external deficits for Angola in 2014, which we forecast will widen further in 2015 before moderating slightly from 2016. Nevetheless, higher oil production enabled the economy to expand by 4.7% in real terms in 2014, and we forecast growth of about 4% annually through to 2018. We are revising our outlook on Angola to negative from stable and affirming our 'B+/B' ratings. The negative outlook indicates that we could lower our long-term rating on Angola if the country's external or fiscal positions continue to deteriorate over the next year. RATING ACTION On Aug. 14, 2015, Standard&Poor's Ratings Services revised its outlook on the Republic of Angola to negative from

...OVERVIEW Low oil prices have led to fiscal and external deficits for Angola in 2014, which + we forecast will widen further in 2015 before moderating slightly from 2016. Nevetheless, higher oil production enabled the economy to expand by 4.7% in real + terms in 2014, and we forecast growth of about 4% annually through to 2018. We are revising our outlook on Angola to negative from stable and affirming our + 'B+/B' ratings. The negative outlook indicates that we could lower our long-term rating on Angola + if the country's external or fiscal positions continue to deteriorate over the next year. RATING ACTION On Aug. 14, 2015, Standard & Poor's Ratings Services revised its outlook on the Republic of Angola to negative from stable. At the same time, we affirmed our 'B+/B' long- and short-term foreign and local currency sovereign credit ratings on Angola. RATIONALE The outlook revision follows the continued weakening of Angola's fiscal and external positions since our last review in February...

Ratings Action